Cheniere and Pertamina Sign Additional 20-Year LNG Sale and Purchase Agreement

Cheniere and Pertamina Sign Additional 20-Year LNG Sale and Purchase Agreement

- Cheniere completes contracting for Corpus Christi Liquefaction Trains 1 & 2

- Cheniere and Pertamina sign additional SPA for LNG sales from Corpus Christi

- Pertamina contracts for additional 0.76 million tonnes per annum of LNG

PR Newswire

HOUSTON, July 1, 2014

HOUSTON, July 1, 2014 /PRNewswire/ --Cheniere Energy, Inc. ("Cheniere") (NYSE
MKT: LNG) announced today that its subsidiary, Corpus Christi Liquefaction,
LLC ("Corpus Christi Liquefaction"), has entered into a liquefied natural gas
("LNG") sale and purchase agreement ("SPA") with PT Pertamina (Persero)
("Pertamina") under which Pertamina has agreed to purchase approximately 0.76
million tonnes per annum ("mtpa") of LNG upon the commencement of operations
of Train 2 of the LNG export facility being developed near Corpus Christi,
Texas (the "Corpus Christi Liquefaction Project"). The SPA is in addition to
the previously announced SPA under which Pertamina will purchase approximately
0.76 mtpa of LNG, bringing the total quantity of LNG sold to Pertamina under
the two agreements to approximately 1.52 mtpa. The Corpus Christi
Liquefaction Project is being designed and permitted for up to three trains,
with aggregate design production capacity of 13.5 mtpa of LNG.

Under the SPA, Pertamina will purchase LNG on a free on board ("FOB") basis
for a purchase price indexed to the monthly Henry Hub price plus a fixed
component. LNG will be loaded onto Pertamina's vessels. The SPA has a term of
twenty years commencing upon the date of first commercial delivery of the
second train of the Corpus Christi Liquefaction Project, with an extension
option of up to ten years. Deliveries from Train 2 are expected to occur in
2019.

"This SPA represents additional LNG volumes contracted with Pertamina at our
Corpus Christi Liquefaction Project. We look forward to supplying LNG to
Indonesia as the country transitions to an LNG importer to meet their growing
energy needs," said Charif Souki, Chairman and CEO. "To date we have entered
into SPAs aggregating approximately 7 mtpa of LNG volumes, completing our
long-term contracting for the first two trains of the Corpus Christi
Liquefaction Project. We expect to complete all remaining necessary steps to
reach a final investment decision and begin construction by early 2015."

The SPA is subject to certain conditions precedent, including but not limited
to Corpus Christi Liquefaction receiving regulatory approvals, securing
necessary financing arrangements and making a final investment decision to
construct Train 2 of the Corpus Christi Liquefaction Project (the "Corpus
Christi FID").

Pertamina is a state-owned national energy company formed to carry out
integrated business in oil, gas, renewable and new energy based on strong
commercial principles both inside and outside of Indonesia. Pertamina is a
Fortune 500 company. Pertamina conducts business activities in the field of
energy and petrochemical and is divided into two sectors, upstream and
downstream. The upstream sector covers the exploration and production
ofoil,gasandgeothermal energy, while its downstream activities cover
processing, marketing, trading and shipping. Pertamina produces a multitude
of commodities such as fuel, kerosene, LPG, LNG, and petrochemicals.
Pertamina operates the Arun LNG plant, Badak LNG plant and FSRU in West Java.
Pertamina has also planned to develop gas infrastructure in several areas in
Indonesia. Additional information about Pertamina may be found on its website
located at http://www.pertamina.com.

Cheniere Energy, Inc. is a Houston-based energy company primarily engaged in
LNG-related businesses, and owns and operates the Sabine Pass LNG terminal and
Creole Trail Pipeline in Louisiana. Cheniere is pursuing related business
opportunities both upstream and downstream of the Sabine Pass LNG terminal.
Through its subsidiary, Cheniere Energy Partners, L.P., Cheniere is developing
a liquefaction project at the Sabine Pass LNG terminal adjacent to the
existing regasification facilities for up to six LNG trains, each of which
will have a design production capacity of approximately 4.5 mtpa ("Sabine Pass
Liquefaction Project"). Construction has begun on LNG Trains 1 through 4 at
the Sabine Pass Liquefaction Project. Cheniere has also initiated a project to
develop liquefaction facilities near Corpus Christi, Texas. The Corpus Christi
Liquefaction Project is being designed and permitted for up to three LNG
trains, with aggregate design production capacity of up to 13.5 mtpa of LNG
and which would include three LNG storage tanks with capacity of 10.1 Bcfe and
two LNG carrier docks. Commencement of construction for the Corpus Christi
Liquefaction Project is subject, but not limited, to obtaining regulatory
approvals, entering into long-term customer contracts sufficient to underpin
financing of the project, obtaining financing, and Cheniere making a final
investment decision. We believe LNG exports from the Corpus Christi
Liquefaction Project could commence as early as 2018. Additional information
about Cheniere Energy, Inc. may be found on its website located at
http://www.cheniere.com.

                       Target Date
                       Sabine Pass Liquefaction                Corpus Christi
                                                               Liquefaction
                       Trains     Trains         Trains
Milestone
                       1 & 2      3 & 4          5 & 6
                                                 Received FTA
DOE export             Received   Received                     Received FTA
authorization                                    Pending       Pending Non-FTA
                                                 Non-FTA
Definitive commercial  Completed  Completed 8.3  T5:           T1-T2:
agreements             7.7 mtpa   mtpa           Completed     Completed
                                                 T6: 2014
- BG Gulf Coast LNG,   4.2 mtpa   1.3 mtpa
LLC
- Gas Natural Fenosa   3.5 mtpa
- KOGAS                           3.5 mtpa
- GAIL (India) Ltd.               3.5 mtpa
- Total Gas & Power                              2.0 mtpa
N.A.
- Centrica plc                                   1.75 mtpa
- PT Pertamina                                                 1.52 mtpa
- Endesa, S.A.                                                 2.25 mtpa
- Iberdrola, S.A.                                              0.76 mtpa
- Gas Natural Fenosa                                           1.50 mtpa
LNG SL
- Woodside Energy                                              0.85 mtpa
Trading Singapore
EPC contract           Completed  Completed      2015          Completed
Financing                                        2015          2014
- Equity               Completed  Completed
- Debt commitments     Received   Received
FERC authorization
- FERC Order           Received   Received       2014/2015     2014/2015
- Certificate to       Received   Received
commence construction
Issue Notice to        Completed  Completed      2015          2015
Proceed
Commence operations    2015/2016  2016/2017      2018/2019     2018/2019

This press release contains certain statements that may include
"forward-looking statements" within the meanings of Section 27A of the
Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934.
All statements, other than statements of historical fact, included herein are
"forward-looking statements." Included among "forward-looking statements" are,
among other things, (i) statements regarding Cheniere's business strategy,
plans and objectives, including the construction and operation of liquefaction
facilities, (ii) statements regarding our expectations regarding regulatory
authorizations and approvals, (iii) statements expressing beliefs and
expectations regarding the development of Cheniere's LNG terminal and pipeline
businesses, including liquefaction facilities, (iv) statements regarding the
business operations and prospects of third parties, (v) statements regarding
potential financing arrangements and (vi) statements regarding future
discussions and entry into contracts. Although Cheniere believes that the
expectations reflected in these forward-looking statements are reasonable,
they do involve assumptions, risks and uncertainties, and these expectations
may prove to be incorrect. Cheniere's actual results could differ materially
from those anticipated in these forward-looking statements as a result of a
variety of factors, including those discussed in Cheniere's periodic reports
that are filed with and available from the Securities and Exchange Commission.
You should not place undue reliance on these forward-looking statements, which
speak only as of the date of this press release. Other than as required under
the securities laws, Cheniere does not assume a duty to update these
forward-looking statements.

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SOURCE Cheniere Energy, Inc.

Website: http://www.cheniere.com
Contact: Investors: Randy Bhatia: 713-375-5479, or Christina Burke:
713-375-5104, Media: Diane Haggard: 713-375-5259
 
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